How much is outstanding in the NFC loan and interest?

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The Outstanding Sum in the NFC Loan and Interest Stands at RM253.6 Million

The Malaysian government and the National Feedlot Corporation (NFC) are currently engaged in discussions concerning the settlement of a lawsuit that demands repayment of a loan and accrued interest totalling RM253.6 million. These discussions are related to the National Feedlot Centre project situated in Gemas, Negri Sembilan, a venture managed by the family of former minister Tan Sri Shahrizat Abdul Jalil.
Ongoing Settlement Negotiations Involve Key Ministries

Senior Federal Counsel Asliza Ali has confirmed that the Ministry of Finance and the Ministry of Agriculture and Food Industry (Mafi) are actively participating in the settlement talks. Any finalisation of a settlement agreement, however, requires a decision from the Cabinet. The court has scheduled August 23 for a case management session to provide an update on the progress of these negotiations.
Trial to Resume if Settlement Fails

Should the settlement discussions not yield an agreement, the trial for the lawsuit is slated to resume on November 7. It is anticipated that Datuk Mohamad Salleh Ismail, the husband of Tan Sri Shahrizat Abdul Jalil, will be called to testify. The trial commenced on January 13, 2020, and to date, seven plaintiff witnesses and one defence witness have presented their testimonies.
Lawsuit Details and Allegations of Misuse

The government initiated the lawsuit, naming NFC as the first defendant, along with Mohamad Salleh and his three children as the second to fifth defendants. Six additional companies controlled by Mohamad Salleh’s family are also listed as defendants. The core of the claim is a RM250 million loan agreement signed with NFC on December 6, 2007, intended to finance the National Feedlot Centre project. While the loan was disbursed in three tranches, allegations suggest that RM180.51 million of the funds withdrawn between January 24, 2008, and January 3, 2011, were not solely used for the project.
Alleged Misappropriation of Loan Funds

Of the RM180.51 million withdrawn by Mohamad Salleh’s family, only RM8.32 million was reportedly paid directly to third parties for the National Feedlot Centre project. The government claims that a substantial portion of the remaining balance, amounting to RM118.04 million, was allegedly misused. Specific allegations include the use of RM9.76 million to purchase property at One Menerung Residence by National Meat & Livestock Corp, payments totalling RM2.1 million to an individual for undisclosed reasons, and the settlement of monthly office rentals at Solaris Mont Kiara. Further alleged expenditures include the purchase of land in Putrajaya, payments to legal firms, and the acquisition of a shophouse in Solaris Mont Kiara.

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How much is outstanding in the NFC loan and interest?

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